1%, it seems so little and potentially, a regular person may think that it is very immaterial. However, when you apply it to your finances, this one percent makes a big difference!! The Effect on Your Savings Have you ever heard of the Rule of 72? It is a simple estimation to determine the number of years your money would double given a certain rate of return. The concept … [Read more...] about Why You Should Fight For Every Percent You Can Get on Your Finances
Investments
Most Common Types of Employer Defined Contribution Plans
A defined contribution plan is retirement plan that does not promise a specific amount of benefits at retirement. In fact on these plans, the employee or the employer or both contribute to the employee’s individual account under the plan, sometimes at a set rate of return, for example, a 7 or 8 percent of earnings annually. The employee has an option of investing this … [Read more...] about Most Common Types of Employer Defined Contribution Plans
Individual Retirement Accounts (IRA): A Quick Overview
Nowadays, majority of the companies offer a retirement plan and the most common type is the 401(k). However, if your employer does not offer one, you can still save for retirement and enjoy the tax-deferment features by opening an Individual Retirement Arrangement or IRA. In the past, not many employer offer a retirement plan at work so the IRA has been a viable option by … [Read more...] about Individual Retirement Accounts (IRA): A Quick Overview
Has Your Employer Made Any Cuts Lately? Mine Did!
The economy seems better than it was two years ago. The Dow Jones has hit the 12,000 points mark and unemployment rate seem to be going down as the months passes by. On a recent statistics by BLS, the unemployment has dropped to 9% in January. However, there are still a  lot of companies that are struggling to make it. Some have already filed bankruptcy and shut down their … [Read more...] about Has Your Employer Made Any Cuts Lately? Mine Did!
The 457 Retirement Plan Hardship Withdrawal
On my previous post, I talked about making a hardship withdrawal on your 401k and 403 (b) but now let’s take a look at the 457 retirement plan, which is a deferred contribution retirement plan for the government employees. It should be noted that some government employees may actually have both the 401(k) plan and 457 retirement plan at the same time, so this may be a … [Read more...] about The 457 Retirement Plan Hardship Withdrawal